Blockchain technology is disrupting a number of industries, especially marketing. The utility blockchain serves up solves marketer and user issues associated with online advertising. For example, blockchain technology marketing cuts out middlemen that have been delivering inaccurate user data to marketers for decades.
The increase in cyber attacks and malware delivered via ads has made users skeptical about clicking advertising. Ad blocker software is also making it increasingly difficult for honest brands and businesses to deliver their marketing messages to their target audiences.
Blockchain Marketing Technology in Current Use
One blockchain marketing technology that is reshaping how marketers obtain user data to deliver ads effectively is Basic Attention Token (BAT). BAT uses the Ethereum blockchain and is supported by the Brave browser. BAT is actually a digital token that can be used between online users, advertisers, and publishers.
The interesting aspect behind the Basic Attention Token is that it is exchanged for user attention. This is revolutionary in the space of marketing, because users regain control of their personal information and consumer behavior, while advertisers and publishers get more accurate consumer data.
“Marketers will able to control how their assets are delivered by monitoring exactly where their ads are being placed, alleviating ad fraud from automated bots by ensuring that real followers and consumers are engaging with their ads, and ensuring proper ad engagement tracking that will lead to more precise digital attribution,” according to Anindya Ghose of Harvard Business Review.
Another benefit of BAT is that it mitigates malware and cyber attack rates for users. Instead of a user being weary of clicking on an ad, they know they have already agreed to see the ad and know it is legitimate. BAT essentially turns marketing on its head for a win-win scenario.
4 Benefits of Implementing Blockchain Marketing Technology
The Basic Attention Token use case above is one way marketing is being disrupted by blockchain utility. Let’s take a deeper look at a few other benefits behind blockchain as it applies to marketing.
1. Blockchain Enhances Loyalty Programs
Creating a better customer experience is always the number one goal, and implementing loyalty programs is one way to boost that experience. However, many marketers find that loyalty programs can result in a little less loyalty due to the traditional gift card system in place. Blockchain marketing technology can change this.
By issuing loyalty program gift cards via digital wallets and tokens consumers can use them without issue and with no expiration. Gyft is a great example of how to combine loyalty programs with blockchain marketing.
2. Vetting Influencers Properly
Influencer marketing is a staple asset in the overall marketing strategy. Consumers are more likely to trust product and/or service recommendations of influencers than brands, and this is driving the value of influencer marketing.
According to ZDNet, “Over one-third (38 percent) of respondents who engage with influencers trust what an influencer says about the brand more so than what the brand says about itself.”
Sadly there are problems in the influencer space. Marketers are finding it harder to verify the identity and social worth of influencers in order to get the ROI promised. Blockchain technology can fix this by decentralizing the influencer ad marketplace, injecting transparency and smart contracts into the equation.
3. Blockchain Marketing Builds More Accurate Consumer Profiles
There is a big problem in getting accurate consumer data these days. The inflated customer data industry is ripe with bots and inaccurate consumer profiles that are sold at a premium and without user consent. This is not a profitable marketing model for advertising.
The good news is that blockchain can solve this issue. By exchanging something of value, similar to the BAT system, users share their information directly with brands. This allows brands and marketers to build robust and more accurate consumer profiles of their target audiences.
4. Shifting Ecommerce to a Decentralized Model
This benefit of blockchain marketing technology may make Amazon and eBay unhappy, but it is a very good thing for small to medium size online sellers. Why? By decentralizing ecommerce, a whole new marketplace opens up to sellers without large third party transaction fees, like those of Amazon and eBay.
This allows online sellers to open up shop and sell directly to consumers online, keeping all of their profits, rather than shelling out say 20 percent. This decentralization could very well disrupt the entire online retail economy, from a national to global level.
In Conclusion . . .
The future of marketing is definitely going to be supported by innovative tech. Blockchain technology is already among that innovation, and will continue to reshape marketing for decades to come. From returning control back to the user to increasing the profits an online seller receives on products, blockchain marketing technology is serving up utility.
